China’s c. bank infuses 771b yuan into banking system

The People’s Bank of China (PBC) injected a total of 771 billion yuan into the banking system on Monday. This move aimed to ensure sufficient liquidity at a reasonable level by the end of the month.

The central bank conducted 471 billion yuan into the market through seven-day reverse repos, also maintaining the borrowing cost at 1.70 per cent.

Additionally, it carried out Medium-term Lending Facility (MLF) operations totaling 300 billion yuan at an interest rate of 2.30 per cent.

Notably, the PBC offered 149.1 billion yuan on August 20, 2024, through seven-day reverse repurchase agreements, maintaining the same interest rate.

Attribution: PBC’s website

Subediting: M. S. Salama